{"id":2431495,"date":"2025-05-06T14:31:02","date_gmt":"2025-05-06T18:31:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/nevada-wrestles-with-191-million-2025-27-budget-shortfall\/"},"modified":"2025-05-06T14:33:31","modified_gmt":"2025-05-06T18:33:31","slug":"nevada-wrestles-with-191-million-2025-27-budget-shortfall","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/nevada-wrestles-with-191-million-2025-27-budget-shortfall\/","title":{"rendered":"Nevada wrestles with $191 million 2025-27 budget shortfall"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">16<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fnevada-wrestles-with-191-million-2025-27-budget-shortfall%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2431495&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>Nevada is facing a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/democratic-socialists-of-america-went-all-out-for-hamas-now-its-facing-a-financial-crisis\/\" title=\"DSA Supported Hamas, Now Faces Financial Crisis\">significant budget shortfall<\/a> of approximately $191 million for teh 2025-27 biennium. this reduction in revenue, projected by the state&#8217;s Economic Forum, marks a decline from $12.4 billion to about $12.2 billion, leading to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/florida-scholarship-for-bullied-students-to-transfer-schools-could-be-cut\/\" title=\"Florida scholarship for bullied students ... potential funding cuts\">potential funding cuts<\/a> for state programs and necessitating a budget reevaluation. The state&#8217;s Democratic Senate Majority Leader, Nicole cannizzaro, expressed concerns regarding the economic uncertainty and its impact on market confidence. This situation echoes the challenges seen during the 2008 recession, with expected revenue losses attributed to economic policies and tariffs introduced by the previous administration. With Nevada lacking an income tax, lawmakers will face difficulties balancing the budget, and if no agreement is reached, a special session may be convened to address the deficit. Additionally, the state has a &#8220;Rainy Day Fund&#8221; of $1.2 billion from the prior budget, which may provide some financial cushion.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<p><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><\/p>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-header-search-button-mob dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-mobile-search-icon td-icon-search\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div class=\"tdb-drop-down-search\" aria-labelledby=\"td-header-search-button\">\n<div class=\"tdb-drop-down-search-inner\">\n<form method=\"get\" class=\"tdb-search-form\" action=\"https:\/\/www.washingtonexaminer.com\/\"><\/form>\n<div class=\"tdb-aj-search\"><\/div>\n<\/div>\n<\/div>\n<p><a href=\"http:\/\/www.washingtonexaminer.com\/#\" role=\"button\" aria-label=\"Search\" class=\"tdb-head-search-btn dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-search-icon td-icon-search\"><\/i><\/a><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<h1 class=\"tdb-title-text\">Nevada wrestles with $191 million 2025-27 budget shortfall<\/h1>\n<div><\/div>\n<div class=\"tdb-title-line\"><\/div>\n<\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div id=\"Brid_2106138\" class=\"tpd-featured-video bridtv\"><\/div>\n<p>(The Center Square) &ndash; Amidst economic issues, Nevada lawmakers have announced a $191 million shortfall for the state&rsquo;s upcoming two-year budget.<\/p>\n<p>In a blow to the Nevada&rsquo;s 2025-27 budget, the state Economic Forum panel placed revenue at roughly $12.2 billion over the next two years, down from $12.4 billion. The near $191 million gap, which was predicted last Thursday, not only means less funds for state programs, but will likely require a budget recalculation.<\/p>\n<div class=\"recommended-stories\">\n<h2>Recommended Stories<\/h2>\n<ul>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/policy\/defense\/3402784\/supreme-court-transgender-military-ban-trump\/\">Supreme Court lets Trump&#8217;s transgender military ban take effect for now<\/a><\/li>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/news\/3402798\/gop-criticizes-arizona-governors-vetoes-of-immigration-bills\/\">GOP criticizes Arizona governor&#8217;s vetoes of immigration bills<\/a><\/li>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/news\/house\/3402396\/house-democrats-discharge-petition-snap-medicaid\/\">House Democrats launch effort to block SNAP and Medicaid changes<\/a><\/li>\n<\/ul>\n<\/div>\n<div class=\"article-paywall\">\n<p>&ldquo;Complete chaos, uncertainty,&rdquo; Nicole Cannnizzaro, Democratic majority leader of the state Senate, said at a press conference. &ldquo;It is making markets drop. It is making people have less confidence, and when that happens, Nevada is one of the first and hardest states hit.&rdquo;<\/p>\n<p>The Economic Forum panel is made up of five independent private sector economists. They first estimated state revenue in December when they projected the $12.4 billion used in the current budget.&nbsp;<\/p>\n<p>Gov. Joe Lombardo&rsquo;s January draft of the budget had also started over-budget from the Economic Forum&rsquo;s original projection &ndash; by about&nbsp;<a href=\"https:\/\/thenevadaindependent.com\/article\/nevada-democrats-say-lombardos-budget-has-serious-fiscal-issues-335m-deficit\" target=\"_blank\" rel=\"noopener\" title=\"\">$335 million<\/a>.<\/p>\n<p>But the <a href=\"https:\/\/amzn.to\/3YuVZYV\" >recent estimated revenue decrease<\/a> is more abnormal. The last time the Economic Forum decreased the anticipated revenue mid-session like this was in the wake of the&nbsp;<a href=\"https:\/\/fcic-static.law.stanford.edu\/cdn_media\/fcic-testimony\/2010-0908-Clinger.pdf\" target=\"_blank\" rel=\"noopener\" title=\"\">2008 Great Recession<\/a>&nbsp;in 2009.<\/p>\n<p>The change comes from the anticipated increase in prices from President Donald Trump&rsquo;s tariffs, largely those aimed at China as part of the administration&rsquo;s&nbsp;&ldquo;<a href=\"https:\/\/www.pbs.org\/newshour\/show\/economists-offer-differing-views-on-trumps-tariffs-and-trade-war\" target=\"_blank\" rel=\"noopener\" title=\"\">trade war<\/a>.&rdquo;&nbsp;The state&rsquo;s poor revenues are expected to see major impacts.<\/p>\n<p>&ldquo;We have a rough rule of thumb that every percentage point increase in the effective tariff rate reduces GDP by six to seven basis points over the coming year,&rdquo; said Emily Mandel, the associate director and senior economist for Moody&rsquo;s Analytics. &ldquo;If you do the math on that 19% increase, it would reduce GDP by 1% to 1.5% over the subsequent year.&rdquo;<\/p>\n<p>But this reduction was anticipated by the state&rsquo;s fiscal committees. Ahead of the revenue announcement, they had already slashed several of Lombardo&rsquo;s proposed new positions and programs &ndash; although only about&nbsp;<a href=\"https:\/\/thenevadaindependent.com\/article\/fearing-slowdown-economic-forum-predicts-173m-less-for-forthcoming-nevada-budget\" target=\"_blank\" rel=\"noopener\" title=\"\">$130 million<\/a>&nbsp;worth.<\/p>\n<p>A large portion of the Economic Forum&rsquo;s projected losses comes from the state&rsquo;s payroll, commerce and sales taxes, all <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/un-canceled-sf-school-board-formally-rescinds-move-to-rename-schools-after-lincoln-washington-feinstein\/\" title=\"Un-Canceled: SF School Board Formally Rescinds Move To Rename Schools After Lincoln, Washington, Feinstein\">partially attributed<\/a> by the Economic Forum to Trump&rsquo;s tariff and economic policies.<\/p>\n<p>Nevada is one of only eight states with no income tax, but with the Silver State already ranked down at 34 in general&nbsp;<a href=\"https:\/\/www.usnews.com\/news\/best-states\/rankings\/opportunity\/affordability?sort=alpha-asc\" target=\"_blank\" rel=\"noopener\" title=\"\">state affordability rankings<\/a>, an income tax is likely not on the table.&nbsp;<\/p>\n<p>After the last biennium budget, Nevada was left with a large &ldquo;Rainy Day Fund&rdquo; of&nbsp;<a href=\"https:\/\/www.leg.state.nv.us\/Session\/83rd2025\/Budgets\/Official%20Executive%20Budget_2025-27.pdf\" target=\"_blank\" rel=\"noopener\" title=\"\">$1.2 billion<\/a><strong>.&nbsp;<\/strong><\/p>\n<p>The Legislature is now tasked with finding a solution to the budget deficit. If no deal is reached, a special session will be called over the summer to balance the state&rsquo;s plans.<\/p>\n<\/div>\n<p> <script data-cfasync=\"false\" src=\"http:\/\/www.washingtonexaminer.com\/cdn-cgi\/scripts\/5c5dd728\/cloudflare-static\/email-decode.min.js\"><\/script><script>!function(){var g=window;g.googletag=g.googletag||{},g.googletag.cmd=g.googletag.cmd||[],g.googletag.cmd.push(function(){g.googletag.pubads().setTargeting(\"has-featured-video\",\"true\")})}();<\/script><script>var _bp=_bp||[];_bp.push({\"div\":\"Brid_2106138\",\"obj\":{\"id\":\"27789\",\"width\":\"1280\",\"height\":\"720\",\"stickyDirection\":\"below\",\"video\":\"2106138\"}});<\/script><script defer src=\"https:\/\/services.brid.tv\/player\/build\/brid.min.js\"><\/script><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Nevada faces a $191 million budget shortfall for 2025-27<\/p>\n","protected":false},"author":1,"featured_media":2431496,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2025\/05\/nevada-capitol.webp","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[54714,51198,38510,5592,54715],"class_list":["post-2431495","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","tag-2025-27","tag-budget-shortfall","tag-fiscal-policy","tag-nevada","tag-state-finance"],"fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2025\/05\/nevada-capitol.webp","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2431495","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2431495"}],"version-history":[{"count":3,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2431495\/revisions"}],"predecessor-version":[{"id":2431499,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2431495\/revisions\/2431499"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2431496"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2431495"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2431495"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2431495"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}